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标题: Inflation and current account [打印本页]

作者: anish    时间: 2011-7-11 19:05     标题: Inflation and current account

As i saw in SS4, both expansionary monetary and fiscal policy lead to inflation, and thus a decrease in net exports (deficit in the current account).

Why does that hold? Should inflation cause depreciation in the country's currency and increase in net exports?

Really got lost here, thanks for any help!




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